Social network theory

Acronym

Alternate name(s)

Network theory, network analysis

Main dependent construct(s)/factor(s)

Node size, density, link strength

Main independent construct(s)/factor(s)

Nodes, links

Concise description of theory

Social network theory views social relationships in terms of nodes and ties. Nodes are the individual actors within the networks, and ties are the relationships between the actors. There can be many kinds of ties between the nodes. In its most simple form, a social network is a map of all of the relevant ties between the nodes being studied. The network can also be used to determine the social capital of individual actors. These concepts are often displayed in a social network diagram, where nodes are the points and ties are the lines.

The power of social network theory stems from its difference from traditional sociological studies, which assume that it is the attributes of individual actors -- whether they are friendly or unfriendly, smart or dumb, etc. -- that matter. Social network theory produces an alternate view, where the attributes of individuals are less important than their relationships and ties with other actors within the network. This approach has turned out to be useful for explaining many real-world phenomena, but leaves less room for individual agency, the ability for individuals to influence their success, so much of it rests within the structure of their network.

Social networks have also been used to examine how companies interact with each other, characterizing the many informal connections that link executives together, as well as associations and connections between individual employees at different companies. These networks provide ways for companies to gather information, deter competition, and even collude in setting prices or policies.